Broker Price Opinion

By
Real Estate Agent with The Payne Group at Keller Williams Success Realty
http://actvra.in/CZ5

How many of you do BPO's? I have been doing them for quite some time now and I am beginning to wonder if this is a huge waste of time.  It has been great for learning the market and view properties but it seems like they kick everyone back because they did not like the comps.  I try to find the closest comps for sales and listings. The sale comps are usually OK but they usually do not like the listing comps.  I had one BPO sent back because the listing comp, which was the exact same home, same floor plan, same builder was more than 10% higher priced than subject.  I tried to explain that  it is a LISTING comp and not a SALE comp because it was 10% or higher than the SALE comps.  If it were priced correctly, it would be a sale comp and not a listing comp.

At any rate, I have gotten some listings from this but it sure seems like the hard way to do business.  Please tell me what everyone thinks.

Posted by

Jeff Payne, Broker Associate
The Payne Group at Keller Williams Success Realty
www.KnowPayneKnowGain.com
850-392-1770 Office
850-890-0132 Cell

 

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Groups:
Realtors®
All Things Florida
Keller Williams 'Rainers
Keller Williams
Agents who want REFERRALS!
Tags:
foreclosure
bpo
real estate

Post a Comment
Spam prevention
Spam prevention
Show All Comments
Anonymous
Monroe Realtor

I am a part time realtor in Monroe, Louisiana. I have been dong BPO's since sometime in 2005. I would receive approx 3 or 4 a week in my email and I would quickly try to accept them, even if the fee was only $45.00. Then it would take several hours to get the BPO completed and actually accepted. I finally stopped accepting them due to the long hours of having to stare at my computer and revise the comps they would reject. After deciding to no longer do BPO's I found something out that is much better! I am working directly with my local "smaller" banks and doing the BPO's directly for them now for a fee of $200 per BPO. See, I believe that all of the companies that send out the BPO's (Protec, EMortgage Logic, RRReview, Land Safe, Etc.) for us to do actually charge the Lenders that requested the BPO around $200, then they get one of "us" close to the property to do all the work for a small fee of $50.00, and they keep the rest! Now, I could be wrong, but now that I am working directly with the banks who need the BPO's, I am having no trouble getting paid $200 per BPO. I would recommend going to local Banks with a nice BPO resume and applying directly to the bank lender. Maybe they are outsoursing their BPO's to one of these online companies and would like to save money by allowing you to do them for say $150 (or less than whatever they are paying now). I have done 3 this week and should a have a $600.00 check by Friday. That is another good thing about local Banks, they pay as soon as the work is done, not a month later or three months later! Just wanted to share my newly found niche with you! Hope it helps!

Sep 15, 2009 07:05 PM #229
Anonymous
M. samuels @ Century 21

BPO's aren't for everyone. If you work with the right companies than they can lead to listings, other companies are just BPO mills that will lead to no more than more broker price opinion orders. If you also join some of the REO Agent directories that asset managers use to find REO that will increase your chances of listing REO properties as well. www.AssignREO.com along with REOnetwork are some of the directories that I have had success with. Good luck to all!

Sep 24, 2009 05:52 PM #230
Anonymous
Bruce

I just discovered this blog.  It was much needed.

I have been doing BPO's since 2005. BPO's are perfect for me as I am past retirement age and the income from them supplements my retirement pay.  I am no longer interested in hauling buyers around nor listening to impatient sellers complain about me not having sold their houses yet. I still do a few sales a year, however.  I also have gotten a few listings from BPO's.

Question:  One problem I am having is with a few BPO companies that send out their orders to multiple agents.  The first agent to log on and accept the order gets the job. I bought a blackberry so I could log on from anywhere, but other agents are still beating me to the orders. How are they doing this?  What can I do to compete?

Someone on here asked about how to estimate repair costs.  I have used a book, Remodeling/Repair Construction Costs. It is not expensive (about $60) as is the Marshall and Swift handbook. One can get this book published annually by: Saylor Publications, Inc., 9420 Topanga Canyon Boulevard, Chatsworth, CA 91311. Their website is: www.saylor.com. No, I am not affiliated in any way with them.  The book has been quite helpful to me.

Bruce in Tennessee

Sep 29, 2009 03:39 PM #231
Anonymous
Lorenzy Gordon

I am looking for someone in the state of georgia to assist in my bpo's work, i am a broker in Los Angeles Ca

please e-mail me @lagordo@pacbell.net with the information.

 

Oct 12, 2009 03:51 PM #232
Anonymous
Tim Ventura

BPO's can either be very lucrative, or as Jeff suggests, a tremendous waste of time: one big factor that I'd recommend reviewing is the coverage area you have selected on your BPO company websites. If you live in a rural area where zip codes are larger, then it might be difficult to refine your BPO coverage, but if you're in or near a major city then you should take a look at the travel time you're committing yourself too by selecting zip codes to accept BPO's for.

Also, let me recommend visiting http://www.bpo-automation.com for information on automated order-acceptance & form-completion solutions to help grow your business and let you turn those orders around more rapidly. It's yet another in a long list of details that can make or break your growing BPO business.

Nov 17, 2009 12:18 PM #233
Anonymous
Oneida

Hi Jeff,

I am just getting back into BPOs, this site was very helpful, will give you an update of my status.

Thanks,

Miami, Florida

May 26, 2010 05:07 PM #234
Rainer
125,713
Lisa Ludlow Archer
Team Ludlow-Keller Williams, Charlotte, NC Ballantyne Area - Waxhaw, NC

Jeff:

Are you still doing a good bit of BPO's? Would love to see your BPO form that you use.

Have a great day!

Jul 06, 2010 11:02 AM #235
Rainer
5,375
Dale Hittle
Dale C. Hittle of GOLDEN RULE PROPERTIES in Glover, Vermont - Glover, VT

Every BPO Firm utilizes a platform that provide its "Form". The individual Vendor doesn't provide the "Form", only completes it to that Firms prescribed standards.

For the hundreds of BPO Firms, there are remarkably few Platforms.

Jul 07, 2010 09:23 AM #236
Rainer
29,311
Frank Beckendorf
Beckendorf Realty Group - Abilene, TX

The fees I charge for doing them makes them worthwhile. I've done about 500 in the last two years...

Aug 10, 2010 08:10 PM #237
Rainer
29,311
Frank Beckendorf
Beckendorf Realty Group - Abilene, TX

The fees I charge for doing them makes them worthwhile. I've done about 500 in the last two years...

Aug 10, 2010 08:10 PM #238
Rainer
5,375
Dale Hittle
Dale C. Hittle of GOLDEN RULE PROPERTIES in Glover, Vermont - Glover, VT

Are you one of the intelligent and sharp minded people who write the impressive valuations?

Aug 22, 2010 02:54 PM #239
Rainer
5,375
Dale Hittle
Dale C. Hittle of GOLDEN RULE PROPERTIES in Glover, Vermont - Glover, VT

Everyone of these Firms has what "they" say is the usual and customary Fee for a Drive By; an Interior; a Historical; a Market Consultation; an Occupancy Report; a Property Condition Report; a Loss Mitigation Report . . . . et cetera et cetera.

To put it bluntly, they will pay as little as possible while still getting a quality job performed. Only you can choose how little you will work for.

So I doubt that anyone has compiled a comprehensive chart of who pays what for each category of Report.  And remember, all reports ARE NOT created equal; nor are the Quality Control gymnastics that each Firm imposes.

But the Fees vary depending upon how hungry the Agents are in every area, and how quickly the Order has to be completed.  It's a free market.  I turn down many more Orders than I will ever consider doing. On some Forums, other Agents get upset when I mention what I am paid in my area versus what they might achieve in their's . . . . it has nothing to do with them.It's supply and demand; and in their areas, the supply of Agents exceeds the demand for these BPOs, so the price Firms have to pay falls.

I have my own Fees for each category of Report or Opinion and what they want doesn't really matter . . . . it's what I'm willing to accept when I go out and fulfill their needs; and MY Fees haven''t changed in nearly 14 years.

Remember, they could tell you whatever they want in order to get you to perform . . . . but if they never get around to paying you, then it really doesn't matter what they promised,now does it ?

Jan 18, 2011 04:19 PM #240
Rainer
11,287
Diane Malagreca
Coldwell Banker Ditommaso Realty - Staten Island, NY

Everything is relative if you do not have a need for extra income do not do BPOs.  However, the most important reason for doing BPOs is to get your name in front of the Asset Managers.  However, you need to work with a direct Asset Management Company and not a third party vendor or BPO mill as some call them.  I did notice one response that a savvy agent went directly to the banks and is doing them for the banks directly, this is a smart route if you can get through the Gatekeepers. 

Also, you can learn how to do BOV Broker Opinion of Value on commercial properties that pay much better than the residential.  Of course the Asset Management companies will pay the agents less and take 75% of the fee, that's how they stay in business and after all business is business.

I find BPOs relatively easy to do, somewhat time consuming but the most important thing is ARE YOU GETTING REO listings from them and ARE THEY TAKING YOU AWAY FROM your book of business which should be the most lucrative part of your business.   Doing BPO work is an individual choice but the end result should be getting REO listings or viewing it as a part-time job.

In regard to one agent's post about agents taking BPOs for a modest fee and being the problem not the solution.  Great if you are financially independent or have serious investments generating cash, but let's face it most Realtors can use additional funds for either marketing expenses, living expenses or just gas money.  What crime have they really committed except for trying to make a living and working hard.  "Judge not and ye not be judged".

 

 

Feb 15, 2011 12:44 PM #241
Rainer
5,463
Brooks Conkle
ForeFront Real Estate LLC - Mobile, AL

My view:

Doing BPO's in order to get listings is a waste.

Doing BPO's to earn extra income is definintely worth the effort --- you just have to learn to be efficient.

I've got a colleague who makes an extra $30-40k per year doing BPOs -- you just have to learn how to get them done without getting kicked back and how to do them quickly and effectively.

All this takes is education and dedication.

Jun 02, 2011 05:21 PM #243
Anonymous
Anonymous

I love doing BPO orders, for all that don't send them my way:0) however, I've seen them drop recently. I signed up for BPOREOMASTERS.Com which was a rip off.

I haven't seen an REO assignment in about a year. Any ideas?

Sep 17, 2012 11:56 AM #244
Rainer
8,159
Lou & Natalia Burns
Keller Williams Realty - McKinney, TX
The Burns Team

Don't be in too much of a hurry to do BPO's for either $$ or the pipe dream of getting a listing. Most companies out there ONLY do valuations and do not control the asset. In addition, many of these companies prey on agents by not paying them, i.e. Evaluations Solutions, BrokerPriceOpinion.com, etc. So if you want to take a chance and working for free, go for it. Hopefully you can get consistent business from a reputable and ethical company. Good Luck.

Oct 15, 2012 12:42 PM #245
Anonymous
Nicole

Hello, I am a newer agent and had a question about BPO's.  Do you need to be licensed as a Broker or is being a Sales Representative sufficient enough?  I work out of Oakville, Ontario, Canada and am having issues finding relevant information in regards to finding listings from Bank Forclosures  Thanks so Much!

Oct 17, 2012 11:39 AM #246
Rainer
7,684
Jenie Maraga├▒as
http://reliablerealestatevirtualassistan.blogspot.com/ - Alameda, CA

Are you looking for a Real Estate Virtual Assistant who will do all your BPO (Broker Price Opinion) stuff?

Hi there,

My name is Jenie and Im a BPO assistant provider. Im here in the Philippines and I can say that im very expert on doing BPOs for those BPO companies. I have like more than 200 lists of BPO companies.

I pulled comparables, previous listings, tax information, do all the data entry, all the comments, and uploading all the photos and submit the BPO order by myself. 


If you are interetsed to know more about my service and how it works, please email me below of call my direct numbers.


Have a great day. 

Thanks, 
Jenie 
email: va.jenie@gmail.com / jensm.23@gmail.com 
phone: 646-535-1432 / (970) 316-2610 



Jan 18, 2013 05:59 PM #247
Rainer
5,728
Andy Cano
Online BPO Services - Auburn, WA
Real Estate Assistant

Hi everyone,

My team and I are doing BPO for only $7.00/BPO. We have completed over 2000+ bpos. We served clients anywhere in the USA. For more informations, please visit our website at http://www.onlinebposervices.com/

Dec 15, 2013 01:54 AM #251
Anonymous
Dale C. Hittle
Gosh, that means the Team has generated $14,000 in income just doing BPOs. In between assignments and spending all that maoney, how do you find time to post on here ?
Dec 15, 2013 01:24 PM #252
Post a Comment
Spam prevention
Show All Comments
Rainer
191,863

Jeff Payne

Panama City Real Estate
Ask me a question
*
*
*
Spam prevention

Additional Information